Also Read: TCS creates history!
As of 10.30 am this morning, TCS, the company which employees half the engineers your dad wants you to be like, overtook the US-listed, Dublin-headquarted Fortune 500 company Accenture, which employees half the MBAs your dad wants you to be like. These are Apple, Alphabet (Google), Amazon, Microsoft and Berkshire Hathway, in that order. These new converging technologies have pushed the customers away from the labor-intensive back-office programming functions, thereby making it more challenging for TCS to run its IT business operations more effectively.
Where does it rank among industry peers?
The sector includes heavyweights like Apple, Alphabet (Google), Microsoft, Facebook, Intel, Netflix, Adobe and Cisco, among others. Bill Gates' Microsoft has an m-cap of $731 billion. Companies like Reliance, HDFC Bank, ITC, Hindustan Unilever, HDFC, Maruti Suzuki and Infosys are also in the top positions. So if TCS were a country and its market cap were counted as GDP, it would beat the likes of Belarus, Luxembourg, Bulgaria and Sri Lanka - all of whom have a gross domestic product of less than $100 billion.
Shares of Tata Consultancy Services (TCS) on Monday surged over four per cent, following which the IT major became the second listed Indian company to hit market capitalisation of over $100 billion (Rs 6,80,912.10 crore).
On BSE, shares of the software major rose 4% or ₹142.60 during the morning session to touch a new all time high of ₹3,549, which pegs the market capitalisation at ₹6.78 lakh crore or a little over $100 billion. We have crossed $ 4 billion in digital revenues... The rally in TCS shares came after the firm had posted revenues for March quarter which were surpassing the estimates.
Experts had foreseen a further upside to the stock based on technical charts as well.
The company announced results on Thursday and saw shares rising 2.65% by Monday to Rs 3496 per share.
In fact, things are looking up for the IT space as a whole.
There will also be a revenue of a double-digit growth and the support from the currency margins are also related to the same.
"Moreover, the buyback impact will be substantial and add nearly 200-400 bps (average) further markup to earnings growth". The company reported profits after 13 consecutive quarters of under performance. The market capitalisation of the company swelled to Rs 6.80 lakh crore in the morning.